AB100: Bill Text

AB100,995,12 2. "Development zone" means a development zone under s. 560.70, a development opportunity zone under s. 560.795 or an enterprise development zone under s. 560.797.

AB100,995,17 3. "Environmental remediation" means removal or containment of environmental pollution, as defined in s. 299.01 (4), and restoration of soil or groundwater that is affected by environmental pollution, as defined in s. 299.01 (4), in a brownfield if that removal, containment or restoration fulfills the requirement under sub. (1de) (a) 1.

AB100,995,23 4. "Full-time job" means a regular, nonseasonal full-time position in which an individual, as a condition of employment, is required to work at least 2,080 hours per year, including paid leave and holidays, and for which the individual receives pay that is equal to at least 150% of the federal minimum wage and receives benefits that are not required by federal or state law. "Full-time job" does not include initial training before an employment position begins.

AB100,996,3 5. "Member of a targeted group" means a person under sub. (1dj) (am) 1., a person who resides in an empowerment zone, or an enterprise community, that the U.S. government designates and a Wisconsin works participant if the person or participant has been certified in the manner under sub. (1dj) (am) 3. by a designated local agency, as defined in sub. (1dj) (am) 2.

AB100,996,6 (b) Credit. Except as provided in s. 73.03 (35) and subject to s. 560.785, for any taxable year for which the person is certified under s. 560.765 (3), any person may claim as a credit against taxes under this subchapter the following amounts:

AB100,996,8 1. The amount expended for environmental remediation in a development zone.

AB100,996,11 2. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs created in a development zone and filled by a member of a targeted group.

AB100,996,14 3. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs created in a development zone and not filled by a member of a targeted group.

AB100,996,17 4. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs retained, as provided in the rules under s. 560.785, in a development zone and filled by a member of a targeted group.

AB100,996,21 5. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs retained, as provided in the rules under s. 560.785, in a development zone and not filled by a member of a targeted group.

AB100,997,2 (c) Credit precluded. If the certification of a person for tax benefits under s. 560.765 (3) is revoked, that person may not claim credits under this subsection for the taxable year that includes the day on which the certification is revoked or succeeding taxable years and that person may not carry over unused credits from previous years to offset tax under this chapter for the taxable year that includes the day on which certification is revoked or succeeding taxable years.

AB100,997,7 (d) Carry-over precluded. If a person who is certified under s. 560.765 (3) for tax benefits ceases business operations in the development zone during any of the taxable years that that zone exists, that person may not carry over to any taxable year following the year during which operations cease any unused credits from the taxable year during which operations cease or from previous taxable years.

AB100,997,10 (e) Administration. Subsection (4) (e) to (h), as it applies to the credit under sub. (4), applies to the credit under this subsection. Subsection (1dj) (c), as it applies to the credit under sub. (1dj), applies to the credit under this subsection.

AB100, s. 2277 Section 2277. 71.28 (4) (a) of the statutes is amended to read:

AB100,997,22 71.28 (4) (a) Credit. Any corporation may credit against taxes otherwise due under this chapter an amount equal to 5% of the amount obtained by subtracting from the corporation's qualified research expenses, as defined in section 41 of the internal revenue code, except that "qualified research expenses" includes only expenses incurred by the claimant, incurred for research conducted in this state for the taxable year and except that "qualified research expenses" does not include compensation used in computing the credit under sub. subs. (1dj) and (1dx), the corporation's base amount, as defined in section 41 (c) of the internal revenue code, except that gross receipts used in calculating the base amount means gross receipts from sales attributable to Wisconsin under s. 71.25 (9) (b) 1. and 2. and (d). Section 41 (h) of the internal revenue code does not apply to the credit under this paragraph.

AB100, s. 2278 Section 2278. 71.29 (2) of the statutes is amended to read:

AB100,998,4 71.29 (2) Who shall pay. Every corporation subject to tax under s. 71.23 (1) or (2) and every virtually exempt entity subject to tax under s. 71.125 or 71.23 (1) or (2) shall pay an estimated tax to the department of revenue at its offices in Madison unless the department, by rule, prescribes another place of payment . If the amount of any payment is $20,000 or more, the department may require the corporation to make the payment electronically.

AB100, s. 2279 Section 2279. 71.30 (3) (eom) of the statutes is created to read:

AB100,998,6 71.30 (3) (eom) Development zones credit under s. 71.28 (1dx).

AB100, s. 2280 Section 2280. 71.34 (1) (g) of the statutes is amended to read:

AB100,998,10 71.34 (1) (g) An addition shall be made for credits computed by a tax-option corporation under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL) and, (1ds) and (1dx) and passed through to shareholders.

AB100, s. 2281 Section 2281. 71.42 (1m) of the statutes is created to read:

AB100,998,12 71.42 (1m) "Department" means the department of revenue.

AB100, s. 2282 Section 2282. 71.42 (3m) of the statutes is created to read:

AB100,998,16 71.42 (3m) "Pay" means mail or deliver funds to the department or, if the department prescribes another method of payment or another destination, use that other method or submit to that other destination.

AB100, s. 2283 Section 2283. 71.44 (4) (a) of the statutes is repealed.

AB100, s. 2284 Section 2284. 71.45 (1t) (h) of the statutes is created to read:

AB100,998,20 71.45 (1t) (h) Those issued under s. 66.066 by a municipality under s. 66.30 (3q) (c).

AB100, s. 2285 Section 2285. 71.45 (2) (a) 10. of the statutes is amended to read:

AB100,999,2 71.45 (2) (a) 10. By adding to federal taxable income the amount of credit computed under s. 71.47 (1dd) to (1ds) (1dx) and not passed through by a partnership, limited liability company or tax-option corporation that has added that amount to the partnership's, limited liability company's or tax-option corporation's income under s. 71.21 (4) or 71.34 (1) (g) and the amount of credit computed under s. 71.47 (1), (3), (4) and (5).

AB100, s. 2286 Section 2286. 71.47 (1dx) of the statutes is created to read:

AB100,999,4 71.47 (1dx) Development zones credit. (a) Definitions. In this subsection:

AB100,999,6 1. "Brownfield" means an industrial or commercial facility the expansion or redevelopment of which is complicated by environmental contamination.

AB100,999,9 2. "Development zone" means a development zone under s. 560.70, a development opportunity zone under s. 560.795 or an enterprise development zone under s. 560.797.

AB100,999,14 3. "Environmental remediation" means removal or containment of environmental pollution, as defined in s. 299.01 (4), and restoration of soil or groundwater that is affected by environmental pollution, as defined in s. 299.01 (4), in a brownfield if that removal, containment or restoration fulfills the requirement under sub. (1de) (a) 1.

AB100,999,20 4. "Full-time job" means a regular, nonseasonal full-time position in which an individual, as a condition of employment, is required to work at least 2,080 hours per year, including paid leave and holidays, and for which the individual receives pay that is equal to at least 150% of the federal minimum wage and receives benefits that are not required by federal or state law. "Full-time job" does not include initial training before an employment position begins.

AB100,999,25 5. "Member of a targeted group" means a person under sub. (1dj) (am) 1., a person who resides in an empowerment zone, or an enterprise community, that the U.S. government designates and a Wisconsin works participant if the person or participant has been certified in the manner under sub. (1dj) (am) 3. by a designated local agency, as defined in sub. (1dj) (am) 2.

AB100,1000,3 (b) Credit. Except or provided in s. 73.03 (35) and subject to s. 560.785, for any taxable year for which the person is certified under s. 560.765 (3), any person may claim as a credit against taxes under this subchapter the following amounts:

AB100,1000,5 1. The amount expended for environmental remediation in a development zone.

AB100,1000,8 2. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs created in a development zone and filled by a member of a targeted group.

AB100,1000,11 3. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs created in a development zone and not filled by a member of a targeted group.

AB100,1000,14 4. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs retained, as provided in the rules under s. 560.785, in a development zone and filled by a member of a targeted group.

AB100,1000,18 5. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs retained, as provided in the rules under s. 560.785, in a development zone and not filled by a member of a targeted group.

AB100,1000,24 (c) Credit precluded. If the certification of a person for tax benefits under s. 560.765 (3) is revoked, that person may not claim credits under this subsection for the taxable year that includes the day on which the certification is revoked or succeeding taxable years and that person may not carry over unused credits from previous years to offset tax under this chapter for the taxable year that includes the day on which certification is revoked or succeeding taxable years.

AB100,1001,5 (d) Carry-over precluded. If a person who is certified under s. 560.765 (3) for tax benefits ceases business operations in the development zone during any of the taxable years that that zone exists, that person may not carry over to any taxable year following the year during which operations cease any unused credits from the taxable year during which operations cease or from previous taxable years.

AB100,1001,8 (e) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under s. 71.28 (4), applies to the credit under this subsection. Subsection (1dj) (c), as it applies to the credit under sub. (1dj), applies to the credit under this subsection.

AB100, s. 2287 Section 2287. 71.47 (4) (a) of the statutes is amended to read:

AB100,1001,20 71.47 (4) (a) Credit. Any corporation may credit against taxes otherwise due under this chapter an amount equal to 5% of the amount obtained by subtracting from the corporation's qualified research expenses, as defined in section 41 of the internal revenue code, except that "qualified research expenses" includes only expenses incurred by the claimant, incurred for research conducted in this state for the taxable year and except that "qualified research expenses" does not include compensation used in computing the credit under sub. subs. (1dj) and (1dx), the corporation's base amount, as defined in section 41 (c) of the internal revenue code, except that gross receipts used in calculating the base amount means gross receipts from sales attributable to Wisconsin under s. 71.25 (9) (b) 1. and 2. and (d). Section 41 (h) of the internal revenue code does not apply to the credit under this paragraph.

AB100, s. 2288 Section 2288. 71.49 (1) (eom) of the statutes is created to read:

AB100,1001,22 71.49 (1) (eom) Development zones credit under s. 71.47 (1dx).

AB100, s. 2289 Section 2289. 71.52 (6) of the statutes is amended to read:

AB100,1003,10 71.52 (6) "Income" means the sum of Wisconsin adjusted gross income and the following amounts, to the extent not included in Wisconsin adjusted gross income: maintenance payments (except foster care maintenance and supplementary payments excludable under section 131 of the internal revenue code), support money, cash public assistance (not including credit granted under this subchapter and amounts under s. 46.27), cash benefits paid by counties under s. 59.53 (21), the gross amount of any pension or annuity (including railroad retirement benefits, all payments received under the federal social security act and veterans disability pensions), nontaxable interest received from the federal government or any of its instrumentalities, nontaxable interest received on state or municipal bonds, worker's compensation, unemployment compensation, the gross amount of "loss of time" insurance, compensation and other cash benefits received from the United States for past or present service in the armed forces, scholarship and fellowship gifts or income other than a qualified scholarship or qualified tuition reduction that is includable in the calculation of federal adjusted gross income under section 117 of the internal revenue code, capital gains, gain on the sale of a personal residence excluded under section 121 of the internal revenue code, dividends, income of a nonresident or part-year resident who is married to a full-year resident, housing allowances provided to members of the clergy, the amount by which a resident manager's rent is reduced, nontaxable income of an American Indian, nontaxable income from sources outside this state and nontaxable deferred compensation. Intangible drilling costs, depletion allowances and depreciation, including first-year depreciation allowances under section 179 of the internal revenue code, amortization, contributions to individual retirement accounts under section 219 of the internal revenue code, contributions to Keogh plans, net operating loss carry-forwards and capital loss carry-forwards deducted in determining Wisconsin adjusted gross income shall be added to "income". "Income" does not include gifts from natural persons, cash reimbursement payments made under title XX of the federal social security act, surplus food or other relief in kind supplied by a governmental agency, the gain on the sale of a personal residence deferred under section 1034 of the internal revenue code or nonrecognized gain from involuntary conversions under section 1033 of the internal revenue code. Amounts not included in adjusted gross income but added to "income" under this subsection in a previous year and repaid may be subtracted from income for the year during which they are repaid. A marital property agreement or unilateral statement under ch. 766 has no effect in computing "income" for a person whose homestead is not the same as the homestead of that person's spouse.

AB100, s. 2290 Section 2290. 71.63 (1m) of the statutes is created to read:

AB100,1003,15 71.63 (1m) "Deposit" means mail or deliver funds to the department or, if the department prescribes another method of submitting or if the department of administration designates under s. 34.05 another destination, use that other method or submit to that other destination.

AB100, s. 2291 Section 2291. 71.63 (2) of the statutes is amended to read:

AB100,1003,25 71.63 (2) "Employe" means a resident individual who performs or performed services for an employer anywhere or a nonresident individual who performs or performed such services within this state, and includes an officer, employe or elected official of the United States, a state, territory, or any political subdivision thereof, or the District of Columbia, or any agency or instrumentality of any one or more of these entities. The term includes an officer of a corporation, an entertainer and an entertainment corporation, but does not include a qualified real estate agent or a direct seller who is not treated as an employe under section 3508 of the Internal Revenue Code.

AB100, s. 2292 Section 2292. 71.63 (3m) of the statutes is created to read:

AB100,1004,5 71.63 (3m) "File" means mail or deliver a document that the department prescribes to the department or, if the department prescribes another method of submitting or the department of administration designates under s. 34.05 another destination, use that other method or submit to that other destination.

AB100, s. 2293 Section 2293. 71.63 (3r) of the statutes is created to read:

AB100,1004,10 71.63 (3r) "Furnish" means mail or deliver a document that the department prescribes to the department or, if the department prescribes another method of submitting or another destination, use that other method or submit to that other destination.

AB100, s. 2294 Section 2294. 71.63 (5m) of the statutes is created to read:

AB100,1004,15 71.63 (5m) "Remit" means mail or deliver funds to the department or, if the department prescribes another method of submitting or if the department of administration designates under s. 34.05 another destination, use that other method or submit to that other destination.

AB100, s. 2295 Section 2295. 71.65 (2) (title) and (a) of the statutes are amended to read:

AB100,1004,22 71.65 (2) (title) Employers must furnish statement to the department Employers' statements. (a) Every person required to deduct and withhold from an employe under this subchapter shall furnish to the department of revenue at its offices in Madison, in respect to remuneration paid by such person to such employe during the calendar year, on or before January 31 of the succeeding year, one copy of the statement under sub. (1).

AB100, s. 2296 Section 2296. 71.65 (2) (b) of the statutes is amended to read:

AB100,1005,11 71.65 (2) (b) Every resident of this state and every nonresident carrying on activities within this state, whether taxable or not under this chapter, who pays in any calendar year for services performed within this state by an individual remuneration which is excluded from the definition of wages, in the amount of $600 or more, shall, on or before January 31 of the succeeding year, furnish the department of revenue at its offices in Madison a statement in such form as required by the department, disclosing the name of the payor, the name and address of the recipient and the total amount paid in such year to such recipient. In any case in which an individual receives wages and also remuneration for services which remuneration is excluded from such definition, both from the same payor, the wages and the excluded remuneration shall both be reported in the report required under this subsection in a manner satisfactory to the department, regardless of the amount of the excluded remuneration.

AB100, s. 2297 Section 2297. 71.65 (3) (a) of the statutes is amended to read:

AB100,1007,8 71.65 (3) (a) Every employer who deducts and withholds any amount under this subchapter shall deposit such amount on a quarterly basis, except that if the amount deducted and withheld in any quarter exceeds $300, the department may require by written notice to the employer, that amounts deducted and withheld on and after the date indicated on such notice be deposited on a monthly basis. Employers who are required to file reports and deposit withheld taxes on a monthly, quarterly or annual basis, as the case may be, shall file such reports and deposit such taxes on or before the last day of the month next succeeding the withholding period. If the amount deducted and withheld in any quarter exceeds $5,000, the department may require by written notice to the employer, that for amounts deducted and withheld from the first day of the month through the 15th day of the month, the employer shall file reports and deposit such taxes on or before the last day of such month and that for amounts deducted and withheld from the 16th day of the month through the last day of the month the employer shall file reports and deposit such taxes on or before the 15th day of the next succeeding month. The department may require any employer who files and pays on a monthly basis or more frequently to do so electronically. Employers shall file reports and deposit taxes with such public depository in Wisconsin as the department of administration designates a public depository therefor under s. 34.05 to the credit of the general fund. With each deposit the employer shall include a deposit report on a form to be provided by the department. The department may, when satisfied that the revenues will be adequately safeguarded, permit an employer whose withheld taxes do not exceed $50 per month to deposit withheld taxes and reports for other than quarterly periods. The department may revoke such permission at any time. The department, if it deems it necessary in order to ensure payment to or facilitate the collection by the state of the amount of taxes, may require reports or payments of the amount of withheld taxes for other than quarterly periods. The public depository shall record on such deposit report the amount deposited and shall then forward such report to the department in such manner and at such time as the department by rule prescribes. On or before January 31 of each year every employer shall file with the department at its offices in Madison, or at such other place as the department by rule prescribes, a withholding report on a form to be provided by the department showing the amount withheld from the wages paid each employe in the previous calendar year, the amount deposited in respect to each employe on wages paid in the previous calendar year and a reconciliation of the aggregate of the amounts deposited in respect to each employe on wages paid in the previous calendar year with the aggregate of the amounts shown on the semimonthly, monthly and quarterly deposit reports filed in respect to such withholding. Every employer who discontinues business prior to the end of a calendar year shall, within 30 days of such discontinuance, deposit withheld taxes not previously deposited and submit a deposit report concerning such deposit with the public depository and file a withholding report with the department covering the period from the beginning of the calendar year to the date of discontinuance. No employe shall have any right of action against an employer in regard to money deducted from wages and deposited with the public depository in compliance or intended compliance with this subchapter.

AB100, s. 2298 Section 2298. 71.65 (3) (d) of the statutes is amended to read:

AB100,1007,17 71.65 (3) (d) On or before January 31 of each year every employer shall file with the department an annual withholding report on forms provided by the department showing the amount withheld from the wages paid each employe in the previous calendar year, the amount deposited or paid over in respect to each employe on wages paid in the previous calendar year and a reconciliation of the aggregate deposited or paid over in respect to each employe on wages paid in the previous calendar year with the aggregate of the amounts shown on deposit and withholding reports filed in respect of such withholding.

AB100, s. 2299 Section 2299. 71.65 (3) (e) of the statutes is amended to read:

AB100,1007,23 71.65 (3) (e) Every employer who discontinues his or her business prior to the end of a calendar year shall, within 30 days of such discontinuance, pay over withheld taxes not previously deposited or paid over, and shall file a withholding report with the department covering the period from the beginning of the calendar year to the date of discontinuance.

AB100, s. 2300 Section 2300. 71.65 (4) of the statutes is amended to read:

AB100,1008,4 71.65 (4) Self-insurers. A person who is required to file an annual withholding report under sub. (3) (a) and who is a self-insurer for the purposes of subch. II of ch. 619 149 shall indicate on the return that the person is such a self-insurer.

AB100, s. 2301 Section 2301. 71.66 (1) (a), (b), (c) and (d) of the statutes are amended to read:

AB100,1008,12 71.66 (1) (a) On or before the date on which an employe commences employment with an employer each employe shall furnish provide his or her employer with a signed withholding exemption certificate relating to the number of withholding exemptions he or she claims, which shall not exceed the number to which he or she is entitled. If the employe fails to furnish provide such certificate, such employe, for withholding purposes, shall be considered as claiming no withholding exemptions.

AB100,1008,18 (b) If the number of withholding exemptions to which the employe is entitled is less than the number of withholding exemptions claimed by him or her on the withholding exemption certificate then in effect, the employe shall within 10 days after the change occurs furnish provide the employer with a new withholding exemption certificate, which shall not exceed the number to which he or she is entitled.

AB100,1008,24 (c) If the number of withholding exemptions to which the employe is entitled is more than the number of withholding exemptions claimed by him or her on the withholding exemption certificate then in effect, the employe may furnish provide the employer with a new withholding exemption certificate on which the employe must not claim more than the number of withholding exemptions to which he or she is entitled on such day.

AB100,1009,3 (d) A withholding exemption certificate furnished provided to the employer shall take effect as of the beginning of the first payroll period ending after the date on which such certificate is furnished provided.

AB100, s. 2302 Section 2302. 71.66 (1) (f) of the statutes is amended to read:

AB100,1009,10 71.66 (1) (f) Whenever the internal revenue code or regulations or rulings of the internal revenue service require an employer to submit copies of, or information taken from, an employe's withholding allowance certificate to the internal revenue service, the employer shall also furnish provide copies of, or information taken from, the certificate to the department within 15 days after the employer is required to file the certificate or information with the internal revenue service.

AB100, s. 2303 Section 2303. 71.68 of the statutes is created to read:

AB100,1009,12 71.68 Definitions. In this subchapter:

AB100,1009,13 (1) "Department" means the department of revenue.

AB100,1009,16 (2) "File" means mail or deliver a document that the department prescribes to the department or, if the department prescribes another method of submitting or another destination, use that other method or submit to that other destination.

AB100, s. 2304 Section 2304. 71.69 of the statutes is amended to read:

AB100,1009,23 71.69 Capital stock transfers. All corporations doing business in this state shall file with the department, on or before March 15 of each year on forms prescribed by the department, a statement of such transfers of its capital stock as have been made by or to residents of this state during the preceding calendar year. Such statement shall contain the name and address of the seller, date of transfer, and the number of shares of stock transferred.

AB100, s. 2305 Section 2305. 71.70 of the statutes is amended to read:

AB100,1010,9 71.70 Rents or royalties. (1) Persons other than corporations. Persons other than corporations deducting rent or royalties in determining taxable income shall inform the department of file a report that shows the amounts and of the name and address of all natural persons who are residents of this state and to whom royalties of $600 or more were paid during the taxable year; and of the amounts and of the name and address of all natural persons to whom rent of $600 or more is paid during the taxable year for property having a situs in this state. Such information shall be filed at the time of filing the income tax return on which such payments are deducted or at such other time as the department prescribes.